If you’re a new business owner, you know just how important it is to keep your company’s assets and employees safe. As such, it’s essential to choose the best insurance you can to ensure that your business continues to run smoothly, even when unexpected misfortunes arise. However, when your business is just starting out, you might not know where to begin when it comes to picking out the perfect insurance package for your company. There are tons of different policies to choose from, and you’re not certain exactly what you need. Luckily, we’re here to help with a breakdown of the different types of common insurance policies that you should look out for when getting insurance to keep your company protected and afloat.
How Do I Get Insurance for My Company?
Before we dive into the different types of insurance policies available to purchase for your company, you might wonder how you even get insurance in the first place. One of the easiest ways to do this is by going online and looking for a business insurance company that offers a variety of insurance policies. From there, you’ll want to research different policies and select the ones best tailored to your business’s specific needs. Sometimes business insurance companies will group different insurance policies that are commonly bought into a policy bundle that you can buy as a whole instead of having to purchase single policies.
Once you’ve found the business insurance company you want to work with and have figured out which insurance policies you’ll need to protect your company, you’ll want to ask the business insurance company for a business insurance quote. A business insurance quote is a document issued by a business insurance company that outlines how much the various insurance policies you want to purchase for your business will cost you.
Business insurance quotes tend to vary in price depending on many factors, including your business location, how many employees you have, how large your company is, among many others. Once you’ve received a business insurance quote for your potential insurance policies that suits your company’s budget and needs, you’ll be ready to pay for your policies and ensure that your business stays safe throughout any circumstances.
What Insurance Policies Should I Consider As a Business Owner?
Some of the most common insurance policies that are essential for business owners to have in place to protect their companies properly include:
Directors and Officers Insurance
This type of insurance protects a company’s directors and officers from liability if they are served with a lawsuit that alleges a breach in fiduciary duty. While Directors and Officers insurance can seem like it’s more important for those who run large businesses that have large Boards of Directors, it can also be essential for those who are attempting to launch a startup business, as they’ll be receiving funds from venture capitalists who will become Directors or Trustees.
Employee Practices Liability Insurance
This form of insurance helps protect businesses if your business is served with lawsuits from employees who allege workplace discrimination, wrongful termination, harassment, or any other workplace-related issues. If you have employees, you’re going to want to have Employee Practices Liability insurance in order to protect your business from the many employee-related risks that can possibly occur within the workplace.
Tech Errors and Omissions Insurance
If your company primarily offers technological services or participates in e-commerce, you’ll want to consider this form of insurance in order to protect your business from any lawsuits that allege that a failure on your company’s part has caused them a loss, financial or otherwise.
Business Owners Policy
If you’re looking for a policy covering several different areas, you might want to invest in a Business Owners policy, which bundles three critical insurances that every business can benefit from. Commercial Property insurance, which protects you financially in the event of business property damage; Business Interruption insurance, which provides financial assistance to businesses who are forced to close due to natural disaster or theft temporarily; and General Liability insurance, which protects your business from claims that your products or services have caused third-party harm.
When selecting insurance for your company, you want to ensure that you’re investing in the policies that will protect your business in the right ways. Be sure to research, consider your business’ risks and needs, and find a business insurance company to get a quote on the perfect policy bundle. As a business owner, what insurance policies do you think are the most essential to have?